ArcelorMittal announced Tuesday that it will be phasing out and eventually closing its steel coating and sheet finishing plant in Lackawana, New York by April 30, 2009.
This news comes just a few weeks after ArcelorMittal announced production cuts of 40 percent in North America and of about 35 percent globally, due to the current economic crisis.
The Lackawana plant, in particular, had to endure other disadvantages in addition to the economy, such as a significant distance from its substrate supply and from many of its end-use customers.
ArcelorMittal spokesperson, Adam Warrington, wrote in an e-mail, “All these disadvantages lead to higher costs, longer customer lead times and higher inventory levels than other ArcelorMittal facilities in the USA."
The Lackawana plant was once part of the now-defunct Bethlehem Steel.